contractor edward snowden suggests that the nation's biggest tech companies are being breached, too. and as far as we know, it's all legal. is that right, tom? >> well, that's being debated. and i'm not a lawyer. so i sort of deal with things on a dumbed down level. gwen: ok. do that. >> there's one rule that basically underlies all the law here. which is you can't spy on americans without a court order. gwen: right. >> but apparently you can spy on foreigners. and that's what these latest rounds of disclosures have involved. whether it's spying on angela merkel or in this case the n.s.a. found a way to intercept the data as it was transiting through data links into data centers that were held by google and yahoo in europe. so the argument would seem to be, the legal argument would seem to be because those data centers are in europe, they're not -- they can assume they're not american data. therefore, it was legal to go in. however, the data companies, google and yahoo, are absolutely furious about this. for various reasons. one of them is that their reputations have now been tainted